CHAPTER 53: UTILITY DEPOSIT POLICIES

Section

   53.01   General requirements

   53.02   Applicants

   53.03   Present customer

   53.04   Interest on deposits

   53.05   Refunds

§ 53.01 GENERAL REQUIREMENTS.

   The city shall determine the creditworthiness of an applicant or customer in an equitable and nondiscriminatory manner.

(Ord. 1989-7, passed 6-8-1989; Ord. 2019-25, passed on 5-13-2020)

§ 53.02 APPLICANTS.

   (A)   Each new applicant for residential utility service shall be deemed creditworthy and shall not be required to make a cash deposit as a condition of receiving service if the applicant satisfies the following criteria:

      (1)   Applicant has been a customer of any utility within the last two years;

      (2)   Owes no outstanding bills for service rendered by any such utility;

      (3)   Did not have during the last 12 consecutive months that the service was provided, more than one delinquent bill to any utility or, if service has been rendered for a period of less than 12 months, has not had more than one delinquent bill in such period; and

      (4)   Within the last two years did not have a service disconnected for a utility for non-payment of a bill for services rendered by that utility.

   (B)   If the applicant fails to establish that he or she is creditworthy pursuant to the above criteria, the applicant may be required to make a cash deposit for each utility service. The deposits shall be as follows:

City Municipal Utilities Schedule of Deposits

Electric:

   Residential:

      Basic   $100

      All Electric   $150

   Commercial:

      Single-Phase   $200

      Three-Phase   $300

Water:

   Residential:   $50

   Commercial:

      Small Commercial User   $100

       (less than 50,000 gallons per month)

      Large Commercial User   $300

       (more than 50,000 gallons per month )

   (C)   If the utility denies service or requires a cash deposit as a condition of providing service, then it must immediately send a written notice to the applicant stating the precise facts upon which it bases its decision and provide the applicant with an opportunity to rebut such facts and show other facts demonstrating his or her creditworthiness.

(Ord. 1989-7, passed 6-8-1989; Ord. 2008-17, passed 9-10-2008; Ord. 2019-25, passed on 5-13-2020)

§ 53.03 PRESENT CUSTOMER.

   (A)   Any utility may require a present customer to make a cash deposit when the customer has been mailed disconnect notices for two consecutive months or any three months within the preceding 12-month period, or when the service has been disconnected pursuant to the rules for non-payment.

   (B)   The amount of such deposit shall be the same as in § 53.02(B).

(Ord. 1989-7, passed 6-8-1989; Ord. 2019-25, passed on 5-13-2020)